5.
Confidential
MY DISCUSSIONS ON THE DEFENCE COSTS AGREEMENT WERE OF A PRELIMINARY NATURE. THE NEGOTIATIONS ARE LIKELY TO BEGIN IN THE SPRING AND I EXPECT THEM TO BE CONCLUDED BEFORE THE END OF 1987. THEY WILL OF COURSE TAKE INTO ACCOUNT ANY CHANGES IN THE SIZE
OF THE BRITISH GARRISON IN HONG KONG BETWEEN NOW AND 1997.
DECISIONS ON THIS HAVE YET BEEN TAKEN.
6.
NO
ON VIETNAMESE REFUGEES, I MADE CLEAR TO MINISTERS THE IMPORTANCE THAT HONG KONG ATTACHES TO A STEADY OFF-TAKE OF REFUGEES FROM THE TERRITORY SO THAT THE NUMBERS HERE CONTINUE
TO FALL. THE BRITISH GOVERNMENT IS CURRENTLY REVIEWING ITS POLICY AND WILL STATE ITS POSITION ON COMPLETION OF THAT REVIEW. HOWEVER, I WAS ASSURED THAT THE BRITISH GOVERNMENT IS COMMITTED TO HELPING HONG KONG OVERCOME OUR PROBLEMS.
ENDS
YOUDE
YYYY
HMLNAN 5150
LIMITED
нко FED
NEWS D SEAD UND
COPIES TO'.
MR RM. Miras 3 HOME OFFICE, MR T FLESHER CONAR HISE
PRV
OEF D Mro
PS / MR RENTON MR GILLMORE
-2-
Confidential